Sometimes we forget that what we see and hear in the mainstream media is not necessarily the complete "reality."  While we are clearly experiencing severe economic dislocations and the residential and commercial real estate sectors have a long way to go to recover, all is not "doom and gloom."  The residential market is showing some positive signs:  credit markets are active, interest rates are at historic lows, residential sales are increasing and the price decline is slowing, affordability is at historic highs and investors are very active in acquisitions.   Many observers feel we are at, or very near, the "bottom" of the residential cycle.  The unknown is what the "upside" will look like; few expect a rapid appreciation in prices and most foresee a slower recovery.  The commercial sector likely has further to go to recovery mode as long as the credit markets continue to contract and restructure.  Before the commercial investment world recovers, a return to "normalcy" in the credit markets will be required.  In the meantime, SBA financing is available at great rates and owner-users are searching for values not seen in years.  Lease rates have dropped in all sectors, lowering the value of commercial real estate but helping the occupancy costs of the tenants.  We expect these difficult times to continue throughout this year and likely into the next (or 2011), providing both current pain as well as opportunities for the future.
-Rick Longpre

Latitude, inc. is a full service commercial real estate company, headquartered in Santa Barbara, on California's Central Coast. While its brokerage and development services are focused on California's Central Coast, Latitude's management and investment expertise have expanded its geographical reach with experience throughout the Western United States.